Money in a Minute

This article was correct at the time of publication. It is now over 6 months
old so the content may be out of date.

Welcome to the Money Masterclass, your one-stop-shop for the best new personal finance products on the market.

This week we look at two new savings accounts from AA and Scottish Building Society, and two new mortgages from HSBC and Britannia.

As usual, products are broken up into technical details and impartial product analysis, so you can be sure the information is 100% reliable.

Mortgages

HSBC

Product detailsHSBC has reviewed its mortgage range with the variable tracker mortgage now with a rate of 2.79% for term. The maximum loan-to-value is 60% and is available to all customers. The deal has a range of incentives which include free valuation fees for purchase customers and free legal fees for remortgage customers. No application fee is required.

Moneyfacts.co.uk analysisLaunching a fee-free variable tracker for term, on the rate of 2.79% alone the deal sits comfortably within the top ten mortgages within this sector at 60% loan-to-value. As well as a low rate, the deal boasts a fee-free incentive package, which will be good news to prospective buyers looking to keep initial mortgage costs down.

Britannia

Product details Britannia has re-priced its mortgage range, with one of the most attractive offerings being the five-year fixed rate deal at 4.29% to 31.8.17. Available to all borrower types with deposits of 15% or more, this deal has a generous incentive package for those remortgaging, including free legal fees and free valuation fees. No application fee is required, regardless of the borrower type.

Moneyfacts.co.uk analysisAt 4.29%, this five-year fixed deal launches straight into the top ten lowest rates at 85% loan-to-value. In addition, the deal comes with a cost saving incentive package including free legal fees and free valuation fees for those remortgaging and no application fees for any prospective borrowers. It is likely to prove a popular choice amongst those who want a long-term fixed deal but also to limit initial mortgage costs.

Savings

AA

Product details This latest fixed range review by the AA sees the launch of a five-year fixed bond paying 4.40% on maturity. Investments range between £1 and £5 million. Early access is allowed but will be subject to an interest penalty determined on the year of withdrawal, ranging from 90 days to 365 days. Further additions are permitted whilst the issue remains open. The account can be operated by post by investors aged 16 and over.

Moneyfacts.co.uk analysisStraight away this five-year fixed bond from AA paying 4.40% on maturity enters the top five best paying rates over this period. Earlier access is allowed, which should prove popular, however, this is subject to an interest penalty, determined by the remaining term of the investment. Needless to say, to get the full benefit of the rate investors would need to tie in their investment for the duration of the term.

Scottish Building Society

Product details Following a recent fixed review, Scottish Building Society has launched a two-year fixed bond paying 3.85% on maturity. Savers can invest between £1,000 and £500,000. Early access and further additions are not permitted. The account can be operated by post or branch.

Moneyfacts.co.uk analysisImmediately entering the top three highest rates in the short-year term sector, this two-year fixed rate bond offers a decent rate of 3.85% on maturity. It sits as the highest rate over two-years. As with the majority of fixed-rate investments, savers must be willing to lock in their investment as early access is not permitted.

Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.

How many have better budgeting as their New Year’s resolution? As with many things, these skills are best learned when young, so Lemonade Money has come up with some tips to help parents make their children more financially savvy.

Money worries are putting Christmas at risk for up to five million Brits, with 10% saying they regularly worry about money in the lead up to Christmas, and the same proportion feeling stressed about how much they are spending.